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Engineering Economics

Engineering Economics
Under ordinary simple interest, how many days in one year?

365
366
360
300

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Engineering Economics
What is considered as the basic consuming or demanding unit of a commodity?

Seller
Manufacturer
Buyer or consumer
Producer

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Engineering Economics
A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

0.3012
0.2917
0.2833
0.3078

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Engineering Economics
A feasibility study shows that a fixed capital investment of P10,000,000 is required for a proposed construction firm and an estimated working capital of P2,000,000. Annual depreciation is estimated to be10% of the fixed capital investment. Determine the rate of return on the total investment if the annual profit is P3,500,000.

29.17 %
28.33 %
30.12 %
30.78 %

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Engineering Economics
Capitalized cost of any structure or property is computed by which formula?

First cost + cost of perpetual maintenance
First cost + salvage value
First cost + interest of first cost
Annual cost – interest of first cost

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Engineering Economics
“Under conditions of perfect competition, the price at which any given product will be supplied and purchased is the price that will result in the supply and the demand being equal.” This statement is known as the:

Law of demand
Law of diminishing return
Law of supply and demand
Law of supply

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